Nord Stream 2 expected to bring reliable gas supplies to Europe

Alexey Miller (Chairman of the Gazprom management committee) and Rainer Seele (Chairman of the executive board of OMV) took part in a working meeting in St. Petersburg on 20 February.

The meeting primarily addressed Russian gas supplies to Austria but also touched upon issues relating to an asset swap between Gazprom and Gazprom’s main partner in Austria, OMV. Particular attention was also paid to the Nord Stream 2 project. The parties noted that the gas pipeline would ensure reliable supplies of Russian gas to the European market, playing a crucial role in the European Union’s energy security.

In 2016, Gazprom exported 6.1 billion m3 of gas to Austria, which was 37.9% higher than 2015. This upwards trend in gas demand is seemingly continuing in 2017, with an additional 109.8% of gas deliveries in January and the first half of February 2017, compared to the same period in 2016.

Gazprom and OMV signed a basic agreement regarding the asset swap on 14 December 2016, under which Gazprom will receive a 38.5% stake in OMV Norge AS, a company that is focused on geological exploration and production in Norway.

The Nord Stream 2 pipeline project is for a transit-free export gas pipeline with an annual capacity of 55 billion m3 of gas running from Russia to Germany across the Baltic Sea.